Saturday, December 22, 2012

Fears about imminent tax hikes and cuts to government spending are taking a toll on U.S. shoppers and could deprive retailers of a strong finish to the 2012 holiday shopping season.


"Fiscal cliff" spooks U.S. shoppers in last lap of holiday race - Reuters

About 17 percent of the 1,514 Americans who participated in a Reuters/Ipsos poll conducted December 17-20 said the impending "fiscal cliff" was making them spend less this season.

U.S. consumer sentiment also plummeted in December as Americans were unnerved by ongoing negotiations, data showed.

The Thomson Reuters/University of Michigan's final reading on the overall index on consumer sentiment tumbled to 72.9 from 82.7 in November, worse than forecasts for 74.7. It was the lowest level since July.